logistics and industrial market overview · many suggests that demand for warehouse and logistics...

Logistics and Industrial Market Overview

Germany | 4th quarter 2019 January 2020

Logistics and Industrial Market Overview | 4th quarter 2019 2

German market for logistics space again exceeds the 6 million sqm mark

Around 6.6 million sqm was taken up in the German mar-ket for warehousing and logistics space in 2019 (owner-oc-cupiers and lettings), 8% less than in the record year 2018 (7.2 million sqm). Compared to the long-term averages, the five-year average was slightly exceeded (3%) but the result was significantly above the ten-year average (20%).The regional analysis shows clear differences in a year-on-year comparison. While outside the Big 5 almost as much space was taken up as in the previous year (-2%), there was a significant drop in take-up overall in the Big 5 (-22%), with the exception of the Berlin region.

In the Big 5, Berlin is ranked No. 1 The Big 5 conurbations (Berlin, Düsseldorf, Frankfurt, Ham-burg and Munich) recorded their poorest performance since 2009 of around 1.67 million sqm (2009: 1.30 million sqm). The decline compared to the previous year was also subs-tantial (-22%), falling short of the five- and ten-year aver-ages by 18% and 13% respectively.Only the Berlin region developed positively, recording a 21% increase in take-up compared to the previous year and assuming top place within the Big 5 with take-up of around 493,000 sqm. In contrast, the traditionally strongest regions in terms of take-up, Frankfurt (413,000 sqm) and Hamburg (364,000 sqm), recorded declines of 37% and 23% respec-tively. The downturn in take-up in the Düsseldorf region

was even more considerable, with 45% less space let than in the previous year. The main reason for this decline was the lack of available units larger than 5,000 sqm. In this size category, take-up in the Big 5 fell disproportionately: in 2019, 28 fewer deals were registered and 562,000 sqm less space was taken up than in 2018. In the Big 5, the Düsseldorf region recorded the largest deal, in which the logistics company Hoyer commenced construction of a 40,000 sqm logistics centre in Dormagen. The biggest deal of the fourth quarter was registered in the Hamburg region, where a logistics company leased around 30,000 sqm in Hamburg's industrial port. Companies from the distribution/logistics segment were responsible for the highest volume of take-up in the Big 5, at around 29%. Retailers accounted for 430,000 sqm (26%), including 127,000 sqm leased by e-commerce companies. Manufacturers followed with a share of 25%. In 2019, around 656,000 sqm of warehousing space was completed in the Big 5, with just 12% of this space unlet at the time of completion. There is currently around 750,000 sqm under construction, with almost a third (240,000 sqm) still available to the market. Most construction activity is cur-rently taking place in the Munich and Berlin regions.

Prime rents – rises in Hamburg, Frankfurt and DüsseldorfIn the Hamburg region, prime rents for warehousing space in the > 5,000 sqm size category showed the strongest year-on-year increase, up 10% to €6.40/sqm/month. In Frankfurt, it rose by 3.3% to €6.20/sqm/month over the past twelve months and in Düsseldorf, by 1.9% to €5.50/sqm/month. The highest prime rent was achieved in Munich (€7.10/sqm/month) where it remained stable over the course of the year; this was also the case in Berlin (€5.50/sqm/month).


Second-highest result in terms of take-up outside the Big 5Around 4.96 million sqm was taken up outside the Big 5 conurbations* in 2019 – just 2% less than in the previous year and therefore the second-best ever result. It was also a considerable 13% and 37% higher than the five- and ten-year averages respectively. While letting take-up increased by 2% year-on-year, owner-occupier deals declined by 11%. Once again, the region with the highest take-up result was the Ruhr area with around 683,000 sqm. The largest deal concluded there was the 90,000 sqm EDEKA central ware-

house in Oberhausen, the construction of which commen-ced in October. This was followed at a substantial distance by the Bremen region (305,000 sqm) in which a deal was secured with Amazon for the construction of a three-storey logistics centre with a usable floor area of 120,000 sqm in Achim by 2021. The Hanover/Brunswick region secured third place with 268,000 sqm. The biggest deal concluded in this region was letting by the mechanical engineering company KraussMaffei Berstorff of more than 50,000 sqm in Laat-zen, with completion scheduled for the end of 2022.Interestingly, and despite all the economic headwinds, the strongest demand came from manufacturers outside the Big 5, who accounted for 1.8 million sqm, or 37% of total take-up. Retailers followed with 31% (1.5 million sqm, in-cluding 612,000 sqm by e-commerce companies) and com-panies from the distribution/logistics segment with around 28% (1.4 million sqm). In total, around 70% of the space taken up was in new buildings or projects, including all deals of units larger than 50,000 sqm.

JLL Supply Chain Activity Index, Deutschland

The JLL Supply Chain Activity Index* for Ger-many suggests that demand for warehouse and logistics space will remain stable in 2020. 2019 the index shows some volatility quarter on quarter and closed the fourth quarter with

a gain of 0.5%. Current forecasts for the first two quarters of 2020 assume that both economic sentiment and retail confidence will be very close to and slightly above the long-term average. GDP growth is expected to recover slightly (0. 4%). The index will therefore also develop positively in the coming months and rise by around 0.5%.

* Note: in these regions, we only account for take-up of space greater than 5,000 sqm.

*Definition “Supply Chain Activity Index”

The Supply Chain Activity Index is a tool used to create short-term forecasts for the rental market for logistics space. The calculation is based on indicators with a high degree of correlation with demand for warehousing and logistics space such as GDP, Trading Volume in Germany or Con- fidence Indicator in German Retail.


1) The Berlin city area and surrounding communities are included in the study. 2) The following towns are covered: Düsseldorf, Erkrath, Hilden, Ratingen, Neuss, Krefeld, Kaarst, Korschenbroich, Haan, Grevenbroich, Langenfeld, Meerbusch, Monheim, Rommerskirchen, Dormagen, Willich. 3) Coverage includes in the entire Frankfurt region, bounded by Butz-bach (Wetterau-Kreis) in the north, by Aschaffenburg in the east, by Bensheim/Heppenheim (Kreis Bergstraße) in the South and by Wiesbaden and Mainz in the West. 4) Coverage includes Hamburg and four surrounding submarkets: North limited by Norderstedt, Quickborn, Kaltenkirchen, Henstedt-Ulzburg; East limited by Bargteheide, Ahrensburg, Trittau, Schwarzenbek, Geesthacht; South limited by Lüneburg, Winsen (Luhe), Buchholz, Buxtehude; West limited by Wedel, Uetersen-Tornesch. 5) The considered market area comprises the cities and communities Cologne, Leverkusen, Bergisch Gladbach, Rösrath, Troisdorf, Niederkassel, Wesseling, Brühl, Hürth, Frechen, Pulheim, Bedburg, Bergheim, Elsdorf, Ker-pen, Erftstadt, Weilerswist, Leichlingen, Burscheid and Odenthal. 6) Coverage includes the entire Munich region. In addition to the City of Munich itself, the region surveyed comprises the most important towns and local authorities in the immediate vicinity of the administrative districts of Dachau, Ebersberg, Erding, Freising, Fürstenfeldbruck and Munich as well as Starnberg. 7) The considered market area comprises the cities Stuttgart and Heilbronn as well as the administrative districts Ludwigsburg, Böblingen, Esslingen, Göppingen, Heil-bronn and Rems-Murr-Kreis. 8) The considered market area comprises the cities Bochum, Bottrop, Dortmund, Duisburg, Essen, Gelsenkirchen, Hagen, Hamm, Herne, Mülheim and Oberhausen as well as the administrative districts Recklinghausen, Wesel, Unna and Ennepe-Ruhr-Kreis. 9) 2020 compared to prior year.

Warehousing Take-up total (sqm) 2018 2019 Forecast 9)

Berlin 1) 407,100 493,300 â

Düsseldorf 2) 320,300 177,100

Frankfurt 3) 660,000 413,000

Hamburg 4) 470,000 364,000 â

Cologne 5) only space ≥ 5,000 sqm 193,600 89,300 â

Munich 6) 279,000 219,000

Stuttgart 7) only space ≥ 5,000 sqm 213,900 52,800 â

Ruhr Area 8) only space ≥ 5,000 sqm 573,800 683,300 è

Warehousing Take-up (≥ 5,000 sqm) 2018 2019 Forecast 9)

Berlin 1) 288,600 282,100 â

Düsseldorf 2) 229,200 102,100

Frankfurt 3) 499,700 268,800

Hamburg 4) 313,500 200,800 â

Cologne 5) 193,600 89,300 â

Munich 6) 161,500 76,500

Stuttgart 7) 213,900 52,800 â

Ruhr Area 8) 573,800 683,300 è

Prime Rents for Warehousing Space (≥ 5,000 sqm) (€/sqm/month) 2018 2019 Forecast 9)

Berlin 1) 5.50 5.50 â

Düsseldorf 2) 5.40 5.50 â

Frankfurt 3) 6.00 6.20 â

Hamburg 4) 5.80 6.40 â

Cologne 5) 5.10 5.10

Munich 6) 7.10 7.10

Stuttgart 7) 6.80 6.80

Ruhr Area 8) 5.20 5.25 â

Completions (sqm) 2018 2019 Forecast 9)

Berlin 1) 166,500 126,000

Düsseldorf 2) 43,500 92,500

Frankfurt 3) 352,300 301,900 è

Hamburg 4) 264,500 89,300 è

Cologne 5) only space ≥ 5,000 sqm 158,000 52,500

Munich 6) 78,600 46,400 â

Stuttgart 7) only space ≥ 5,000 sqm 161,100 85,300 è

Ruhr Area 8) only space ≥ 5,000 sqm 199,100 291,300

Berlin

BerlinLogistics and Industrial Market Overview | 4th quarter 2019

Warehouse take-up reaches new recordIn 2019, around 493,000 sqm of warehousing and logistics space was taken up in the Berlin region*, which was a his-toric result and exceeded the previous record set in 2015 (456,000 sqm) by 8%. It was also 21% above both the pre-vious year’s result and the five-year average. The number of contracts concluded was also above-average at 160, compared to an average of just 116 contracts concluded over the last five years. The largest letting was concluded in the first quarter, in which Amazon signed a contract for an around 31,000 sqm new sorting centre in a project in Schönefeld. The second-largest deal was concluded by SelfStorage-DeinLager LagervermietungsGmbH for over 16,800 sqm in the Berlin South submarket, and the third-largest deal was the letting by Microvast GmbH for

Warehousing Take-up

Prime Rent ≥ 5,000 sqm

15,700 sqm in Ludwigsfelde. A total of 29 contracts were concluded for units larger than 5,000 sqm. Although the average deal size in this category was 9,700 sqm, most deals (90 contracts and 59% of the total number) involved units of 1,000 sqm to 5,000 sqm. The strongest demand came from retailers and e-commerce companies which accounted for 35% of total take-up. Second placed in the industry statistics were companies from the distribution/logistics segment with a 26% share of take-up, followed by manufacturers with 22%. The south of Berlin (Berlin South, Periphery South and the area surrounding Berlin-Brandenburg Airport) was particularly highly sought-after, accounting for 56% of take-up. Following a 10% rise in 2018, the prime rent for ware-housing and logistics units larger than 5,000 sqm remai-ned stable in 2019 at €5.50/sqm/month. Conversely, rent rises were observed for space in the light industrial seg-ment, in which rents increased by 33% to €10.00/sqm/month in the Berlin South submarket.

* The Berlin city area and surrounding communities are included in the study.

BerlinLogistics and Industrial Market Overview | 4th quarter 2019

Zepernick

Nauen

Fredersdorf-Vogelsdorf

Neuenhagen

Rüdersdorf

Velten

Erkner

Schöneiche

Beelitz

Kleinmachnow

StahnsdorfTeltow

A 105

A 102

A 100

A 104

A 114

A 2

A 9

A 111

A 113A 115

A 12

A 13

A 11

A 10

A 24

Berlin-West€ 4.00 - 7.10

Berlin-East€ 4.20 - 5.90

Berlin-South€ 5.00 - 10.00

Berlin-North€ 4.00 - 6.00

Airport Berlin Brandenburg€ 4.40 - 6.50

Periphery East€ 3.00 - 4.20

Periphery West€ 3.20 - 4.20

Periphery North€ 2.50 - 3.80

Periphery South€ 3.70 - 4.70

Berlin

Potsdam

Bernau

Eberswalde

KönigsWusterhausen

FalkenseePetershagen

Strausberg

Hennigsdorf

HohenNeuendorf

Oranienburg

Neuruppin

Werder/ Havel

Ludwigsfelde

AirportMain Station

Switch YardFreight Village

HarbourRental Band(Euro/sqm/month)for warehousing space of all unit sizes (incl. business parks)

Market Area€ min - max

Industrial Market Areas

Berlin: Industrial Market Areas

Logistics and Industrial Market Overview | 4th quarter 2019 Düsseldorf

Düsseldorf

Take-up down by 45%Around 177,000 sqm was taken-up in the market for ware-housing and logistics space (owner-occupiers and lettings) in the Düsseldorf region* in 2019. This was 45% lower than the previous year’s result and 35% below the five-year ave-rage. A similar level was last registered in 2016 (176,000 sqm). Very few contracts were concluded for units larger than 5,000 sqm. In 2018, there were 20 deals with a total volume of around 229,000 sqm concluded in this size category, compared to just eight in 2019 (102,000 sqm). This is mainly due to the lack of modern space available at short notice. The strongest demand (41%) came from companies from the distribution/logistics segment. These included the two largest deals of the year, in which the logistics company

Warehousing Take-up


Hoyer commenced construction of a 40,000 sqm logistics centre on the Chempark site in Dormagen, and ABC-Logis-tik signed a contract for around 12,000 sqm in a project at the Port of Düsseldorf. Manufacturers and retailers accoun-ted for a further 28% and 13% of the total take-up volume, respectively. 93,000 sqm of new shed space has been built over the last twelve months, with just 30% of this space still unlet at the time of completion. There is currently 144,000 sqm under construction, around 45% of which is being built specula-tively.The continuing shortage of supply led to a 1.9% increase in the prime rent for warehouse space to €5.50/sqm/month in the > 5,000 sqm size segment in the fourth quarter; this was achieved in the Düsseldorf urban area in the proximity of the airport.

* The following towns are covered: Düsseldorf, Erkrath, Hilden, Ratingen, Neuss, Krefeld, Kaarst, Korschenbroich, Haan, Grevenbroich, Langenfeld, Meerbusch, Monheim, Rommerskirchen, Dormagen, Willich.

Logistics and Industrial Market Overview | 4th quarter 2019 Düsseldorf

Grefrath

Rommerskirchen

Rhein

Rhein A 535

A 542

A 524

A 540

A 1

A 44

A 61

A 59

A 46

A 3A 52

A 57

Düsseldorf€ 4.50 - 6.20

Krefeld€ 3.75 - 5.10

Erkrath€ 3.50 - 4.90

Haan€ 3.50 - 4.50

Hilden€ 3.50 - 5.20

Langenfeld€ 3.75 - 5.20

Ratingen€ 4.00 - 5.20

Grevenbroich€ 3.50 - 4.80

Kaarst€ 4.00 - 4.60

Meerbusch€ 4.00 - 5.00

Neuss€ 4.20 - 5.40

Willich€ 3.50 - 5.20

Korschenbroich€ 3.25 - 4.50

Monheim€ 3.50 - 4.75

Dormagen€ 3.50 - 4.50

Rommerskirchen€ 3.50 - 4.25

Düsseldorf

Essen

Krefeld

Mönchengladbach

Mülheim ander Ruhr

Solingen

WuppertalNeuss

Moers

Köln

Leverkusen

BergischGladbach

Erkrath

Haan

Heiligenhaus

Hilden

Langenfeld(Rhld.)

Mettmann

Monheim

Ratingen

Velbert

Wülfrath

DormagenGrevenbroichJüchen

Kaarst

Korschenbroich

Meerbusch

Kempen

Tönisvorst

ViersenWillich

Bedburg

AirportMain Station




Düsseldorf: Industrial Market Areas

Logistics and Industrial Market Overview | 4th quarter 2019 Frankfurt

Frankfurt

Less demand for warehousing space from logistics companies in the Rhein-Main regionThe logistics and industrial market in the Frankfurt region* concluded 2019 with take-up of 413,000 sqm (including ow-ner-occupiers), below the previous year’s result (-37%). The most significant decline was observed in the large-scale size category. While take-up of smaller units was relatively stable, activity in respect of units larger than 5,000 sqm declined by almost half compared to 2018 (-46%). Given the extraordinary record results of previous years, the current trend should be considered not as much a slump in demand as a natural calming of the market, albeit accompa-nied by general economic uncertainty, especially in the au-tomotive sector. This trend was most noticeable in the distri-bution/logistics segment which traditionally records the strongest demand. Here, take-up decreased by around 70% compared to 2018. Companies from the distribution/logis-tics segment ranked just third in the industry statistics with

Warehousing Take-up


23% of the take-up volume, trailing behind retailers (32%) and manufacturing (31%). As a result of strong new-build activity, around 40% of take-up in 2019 was generated in Periphery West. However, with 302,000 sqm, 25% less new-build space was constructed overall in the Rhein-Main region than in 2018, with less than 3% released onto the market speculatively. This decline in new-build activity is also affecting the current project pipe-line. Due to the lack of available land, just 94,000 sqm of new shed space is expected to come onto the market in 2020. Despite the limited supply situation, given the current outline conditions and continued brisk demand, we expect the mar-ket for warehousing space to remain stable in 2020 with a slight upward trend. In view of the shortage of land however, the focus of large-scale searches will inevitably shift increa-singly into the surrounding area.

* Coverage includes in the entire Frankfurt region, bounded by Butzbach (Wetter-au-Kreis) in the north, by Aschaffenburg in the east, by Bensheim/Heppenheim (Kreis Bergstraße) in the South and by Wiesbaden and Mainz in the West.

Logistics and Industrial Market Overview | 4th quarter 2019

Rhein

Main

Main

Rhein

MainA 672

A 671A 643

A 485

A 661A 66

A 60

A 45

A 63

A 67A 5

A 61

A 3

Frankfurt€ 4.80 - 7.00

Wiesbaden€ 4.20 - 5.50

Mainz€ 4.20 - 5.50




Periphery South€ 4.40 - 6.20Darmstadt

Frankfurtam Main

Offenbacham Main

Wiesbaden

Mainz

AirportMain Station




Frankfurt: Industrial Market Areas

Frankfurt

Logistics and Industrial Market Overview | 4th quarter 2019 Hamburg

Hamburg

Shortage of space slows down take-up of logistics space in Hamburg As expected, given the acute shortage of space, the Ham-burg* market for logistics and industrial space recorded a modest annual result in 2019. Around 364,000 sqm of ware-housing space was taken up (including owner-occupiers) in the period from January to December. This was the weakest take-up result since 2008 and fell short of both the previous year’s disappointing result by 23% and the five-year average by 31%. As in other major logistics locations, the de-cline in take-up in the Hamburg region was most evident in the large-scale size category. The volume of take-up of units larger than 5,000 sqm was down by more than a third (-36%) compared to 2018. By December, just three major deals for units larger than 10,000 sqm had been concluded.With contracts concluded for 30,000 sqm (ULD United Logis-tics & Distribution) and 11,500 sqm (Nutwork), the two lar-gest lettings of the year took place in the industrial port. This

Warehousing Take-up


submarket accounted for a quarter of take-up. The strongest demand came from companies in the distribution/logistics segment, traditionally the most important group in the Hamburg market area, which accounted for almost half of the take-up (47%). Due to the low availability of land, there are few new-build projects to report. At around 90,000 sqm, the supply pipeline in 2019 was around two-thirds down compared to the previ-ous year. There are also no completions of major projects expected in 2020 that could significantly ease the tension in the market. However, there are expectations of existing space being released onto the market in the coming months which should help maintain take-up in 2020 at the 2019 level.

* Coverage includes Hamburg and four surrounding submarkets: North limited by Norderstedt, Quickborn, Kaltenkirchen, Henstedt-Ulzburg; East limited by Bargte-heide, Ahrensburg, Trittau, Schwarzenbek, Geesthacht; South limited by Lüneburg, Winsen (Luhe), Buchholz, Buxtehude; West limited by Wedel, Uetersen-Tornesch.


Süder Elbe

Norder Elbe

Elbe

Elbe

A 26

A 253

A 261

A 21

A 7

A 1

A 25

A 24

A 23

A 250

ElbeElbe




Industrial Port€ 4.60 - 6.40

Norderstedt€ 4.30 - 5.80

Airport / Groß Borstel€ 4.10 - 5.80

Billbrook-Billwerder-Billstedt€ 4.20 - 6.00

Hamburg-West€ 4.20 - 5.20

Allermöhe€ 4.20 - 5.90Harburg-Hausbruch

€ 4.00 - 5.60

Peute-Obergeorgswerder€ 4.10 - 5.60


Hamburg

Geesthacht

Elmshorn

Pinneberg

Quickborn

Wedel(Holstein)

Henstedt-Ulzburg

NorderstedtAhrensburg

Reinbek

Buchholz inder Nordheide

NeuWulmstorf

Hittfeld

Winsen(Luhe)

Buxtehude

AirportMain Station





Hamburg: Industrial Market Areas

Hamburg

Logistics and Industrial Market Overview | 4th quarter 2019 Cologne

Cologne

Weakest take-up for the past ten yearsAround 89,000 sqm of space larger than 5,000 sqm was taken up in the market for warehousing and logistics space (owner-occupiers and lettings) in the Cologne region* in 2019; this was over 50% below the previous year’s result and below the five-year average. In contrast to previous years, no deals were concluded for units larger than 20,000 sqm and the average size of deals concluded in 2019 was around 9,900 sqm. The largest letting of the year was registered by Logwin AG, in which the logistics com-pany signed a contract for around 18,000 sqm in a project in Kerpen. The second-largest contract was also conclu-ded by a logistics company for an existing unit in Bedburg,

Warehousing Take-up


with a total area of around 17,000 sqm. Companies in the distribution/logistics segment accounted for around 50% of total take-up, while manufacturers accounted for 26%. In the Cologne urban area, the supply of space available at short notice remains scarce, and no easing of this situation is foreseeable in the coming months. The situation is some-what different in some of the surrounding communities: for example, in Kerpen and Euskirchen, thanks to speculative new construction, there are available units larger than 5,000 sqm. The prime rent for warehousing space larger than 5,000 sqm achieved in the Cologne urban area has remained stable over the past twelve months at €5.10/sqm/month.

* The considered market area comprises the cities and communities Cologne, Leverkusen, Bergisch Gladbach, Rösrath, Troisdorf, Niederkassel, Wesseling, Brühl, Hürth, Frechen, Pulheim, Bedburg, Bergheim, Elsdorf, Kerpen, Erfstadt, Weilerswist, Leichlingen, Burscheid and Odenthal.


Rhein

Rhein

A 542

A 562

A 559

A 565

A 540

A 46

A 59

A 3

A 553

A 4

A 61

A 1

A 57

A 555

Cologne€ 3.75 - 5.10

Leverkusen€ 3.00 - 4.40

Bedburg€ 2.90 - 4.30

Bergheim€ 3.00 - 4.30

Brühl€ 3.00 - 4.20

Elsdorf€ 3.00 - 4.30

Erftstadt€ 3.00 - 4.00

Frechen€ 3.50 - 4.70

Hürth€ 3.50 - 4.85

Kerpen€ 3.00 - 4.50

Pulheim€ 3.50 - 4.65

Wesseling€ 3.00 - 4.65

Weilerswist€ 2.90 - 4.10

Bergisch Gladbach€ 3.00 - 4.40

Burscheid€ 3.00 - 4.30

Leichlingen€ 3.00 - 4.30

Odenthal€ 3.00 - 4.30

Rösrath€ 3.00 - 4.30

Niederkassel€ 3.00 - 4.50

Troisdorf€ 3.00 - 4.60

DüsseldorfRemscheidSolingen

Bonn

Köln

Leverkusen

Bergisch Gladbach

Hilden

Langenfeld(Rhld.)

MonheimDormagenGrevenbroich

Jüchen

Düren

BedburgBergheim

Brühl

Erftstadt

Frechen

HürthKerpen

Pulheim

Euskirchen

Overath

Rösrath

Wermelskirchen

Alfter

Bornheim

Hennef(Sieg)

Königswinter

LohmarNiederkassel

SanktAugustin

SiegburgTroisdorf

AirportMain Station


Harbour


Rental Band(Euro/sqm/month)for warehousing space >= 5,000 sqm


Cologne: Industrial Market Areas

Cologne

Logistics and Industrial Market Overview | 4th quarter 2019 Munich

Munich

Munich's logistics market cannot exploit demand potential The high demand for warehousing and logistics space in the Munich region* slowed down in 2019 due to the lack of available space and land. As expected, with 219,000 sqm (including owner-occupiers), the take-up result was signifi-cantly below the previous year's level (-22%) and the five-year average (-13%). Thanks to two large deals of over 10,000 sqm, almost half of the annual take-up volume was generated in the third quarter. In general, however, few ma-jor searches can be satisfied due to the lack of available space and land. Compared to 2018, over 50% less space was taken up in the > 5,000 sqm size category. By the end of the year, just seven deals had been concluded in this segment. In addition to a letting of 30,000 sqm of projected new space in Parsdorf (BMW), this included a new 15,000 sqm project in Langen-

Warehousing Take-up


bach (by an owner-occupier). With 30 contracts signed and a 40% share of take-up, most market activities took place in Periphery North, followed by Periphery East with 25 contracts signed and 31% of the take-up volume. Due to the lack of available land, 46,000 sqm of new space was completed in 2019, around 41% less than in the previ-ous year. The volume of new construction suggests that the market situation will not ease in the coming months. An additional 44,000 sqm of warehousing space is expected in the region in 2020, of which a maximum of 10% could be freely available in the market. We assume that demand in the market for warehousing and logistics space in Munich will remain at a high level in 2020, despite an expected cyc-lical slowdown. The conclusion of an extraordinary large deal is expected imminently in the market, suggesting that the take-up volume in 2020 will exceed the 2019 result.

* Coverage includes the entire Munich region. In addition to the City of Munich itself, the region surveyed comprises the most important towns and local authorities in the immediate vicinity of the administrative districts of Dachau, Ebersberg, Erding, Freising, Fürstenfeldbruck and Munich as well as Starnberg.


Karlsfeld

MarktSchwaben

Poing

Eching

Eichenau

Gröbenzell

Maisach

Puchheim

Garchingb. München

Gräfelfing

Grünwald

Haar

Ismaning

Kirchheim b. München

Oberhaching

Oberschleißheim

Ottobrunn

Planegg

Taufkirchen

NeubibergGauting

Gilching

Neufahrn b.Freising

Hallbergmoos

A 952

A 92

A 99

A 995

A 96

A 95

A 94

A 9

A 8





Dachau/Karlsfeld€ 6.20 - 6.80

Munich€ 7.10 - 13.0

München

Dachau

Vaterstetten

Erding

Freising

Fürstenfeldbruck

Germering

Olching

Unterhaching

Unterschleißheim

Starnberg

AirportMain Station

Switch YardRental Band(Euro/sqm/month)for warehousing space of all unit sizes (incl. business parks)



Munich: Industrial Market Areas

Munich

Logistics and Industrial Market Overview | 4th quarter 2019 Ruhr Area

Ruhr Area

Above-average take-up performance Around 683,000 sqm of warehousing and logistics space larger than 5,000 sqm was taken up in the Ruhr area* (let-tings and owner-occupier deals) in 2019. This exceeded both the previous year’s result and the five-year average by around 20%. Only the record year 2016 registered a higher volume of take-up (1.05 million sqm). Retailers in particular contributed to the good take-up result, accoun-ting for around 60% of the total volume, including the three largest deals of the year: in October, EDEKA Handels-gesellschaft Rhein-Ruhr commenced construction of an

Warehousing Take-up


around 90,000 sqm logistics centre in Oberhausen; Wool-worth is building a 63,000 sqm central warehouse in Unna; and L-Shop-Team leased around 52,000 sqm, also in Unna. Companies in the distribution/logistics segment ac-counted for around 24% of take-up, while manufacturers accounted for 15%. The average size of the deals conclu-ded in 2019 was 15,200 sqm. The prime rent for warehousing space larger than 5,000 sqm increased slightly in the fourth quarter to €5.25/sqm/month and was achieved in Duisburg. Rent rises were also obser-ved in the Bochum, Dortmund, Essen and Mülheim an der Ruhr submarkets, and in the Recklinghausen district. Most of the deals were concluded at rents of €4.00 – 4.50/sqm/month.

* The considered market area comprises the cities Bochum, Bottrop, Dortmund, Duisburg, Essen, Gelsenkirchen, Hagen, Hamm, Herne, Mülheim and Oberhausen as well as the administrative districts Recklinghausen, Wesel, Unna and Ennepe-Ruhr-Kreis.


Rhein

Rhein

Rhein

A 445A 443

A 540 A 542

A 42

A 59A 57

A 40

A 52

A 535

A 2

A 46

A 44

A 43

A 1

A 45

A 3

A 31

Duisburg€ 3.75 - 5.25

Essen€ 3.50 - 4.65

Mülheim an der Ruhr€ 3.50 - 4.75

Oberhausen€ 3.50 - 4.75

Wesel€ 3.00 - 3.85

Bottrop€ 3.00 - 4.00

Gelsenkirchen€ 3.00 - 4.00

Recklinghausen€ 3.00 - 4.25

Bochum€ 3.25 - 4.65

Dortmund€ 3.50 - 4.95

Hagen€ 3.25 - 4.00

Hamm€ 3.25 - 4.25

Herne€ 3.25 - 4.25

Ennepe-Ruhr-Kreis€ 3.00 - 4.00

Unna€ 3.25 - 4.25

Düsseldorf

Essen

Krefeld

Mönchengladbach

Mülheiman derRuhr

Oberhausen

RemscheidSolingen

Wuppertal

Neuss

Moers

BottropGelsenkirchen

Münster

Recklinghausen

Dortmund

Hagen

Witten

AirportMain Station


Harbour




Ruhr Area: Industrial Market Areas

Ruhr Area

Logistics and Industrial Market Overview | 4th quarter 2019 Stuttgart

Stuttgart

Shortage of space limits take-up resultAround 53,000 sqm of warehousing and logistics space larger than 5,000 sqm was taken up in the Stuttgart regi-on* (owner-occupiers and lettings) in 2019, the poorest result of the last ten years. It was around 75% down on the previous year's result (2018: 214,000 sqm) and the five-year average, and was mainly due to the lack of mo-dern space available to let at short notice. There was also a lack of available land for logistics use. The industry sta-tistics were headed by manufacturing companies (traditi-onally the most strongly represented in the region) who

Warehousing Take-up


accounted for 72% of total take-up. Significantly less space was taken up by retailers (15%) or companies from the distribution/logistics segment (13%). There were no large-scale deals concluded in 2019, unlike the previous year in which Daimler AG leased around 42,000 sqm in a project on the site of a former brickworks in Waiblingen. The largest deal in 2019 was also concluded by a car ma-nufacturer, but for a unit of just 10,000 sqm.The prime rent for warehousing space larger than 5,000 sqm remained stable at €6.80/sqm/month and was achieved in the Stuttgart urban area. At around €6.50/sqm/month, the second highest rent was achieved in the Böblingen and Ludwigsburg submarkets. The lowest rent, of €4.80/sqm/month, was agreed for warehousing space in Göp-pingen.

* The considered market area comprises the cities Stuttgart and Heilbronn as well as the administrative districts Ludwigsburg, Böblingen, Esslingen, Göppingen, Heilbronn and Rems-Murr-Kreis.


A 831

A 5

A 8/81

A 8

A 6

A 81

Stuttgart€ 5.00 - 6.80

Böblingen€ 5.00 - 6.50

Esslingen€ 4.50 - 5.80

Göppingen€ 3.50 - 4.80

Ludwigsburg€ 5.00 - 6.50

Rems-Murr-Kreis€ 4.00 - 5.50

Heilbronn€ 4.50 - 6.00

Periphery Heilbronn€ 4.00 - 5.00

Stuttgart

Heilbronn

Heidelberg

Pforzheim

Reutlingen

Böblingen

Herrenberg

Leonberg

Sindelfingen

Esslingenam Neckar

KirchheimunterTeck

Nürtingen

Filderstadt

Leinfelden-EchterdingenOstfildern

Eislingen/Fils

Geislingenan derSteige

Göppingen

Ditzingen

Kornwestheim

Ludwigsburg

Vaihingen an der EnzAurich

Bietigheim-Bissingen

Remseck am Neckar

Backnang

Fellbach Schorndorf

Waiblingen

Winnenden

Weinstadt

BadRappenau

Eppingen

Neckarsulm Öhringen

Crailsheim

SchwäbischHall

SchwäbischGmünd

Bretten

Bruchsal

MosbachLeimen

Sinsheim

Wiesloch

Nagold

Calw

Mühlacker

Horb amNeckar

MetzingenAltenburg

Rottenburgam Neckar

Tübingen

AirportMain StationFreight Village

Harbour




Stuttgart: Industrial Market Areas

Stuttgart

Industrial Agency CologneAugustinerstraße 10 50667 [email protected]+49 (0) 221 2775 0

Frank WeberHead of Industrial Agency [email protected]+49 (0) 89 290088 110

Helge ScheunemannHead of Research [email protected]+49 (0) 40 350011 225

Industrial Agency BerlinRahel-Hirsch-Straße 1010557 [email protected]+49 (0) 30 203980 0

Industrial Agency MunichLudwigstraße 880539 [email protected]+49 (0) 89 290088 0

Industrial Agency LeipzigPetersstraße 12-14 04109 [email protected]+49 (0) 341 22633 0

Industrial Agency FrankfurtBockenheimer Landstraße 5560325 [email protected]+49 (0) 69 2003 0

Industrial Agency DüsseldorfDreischeibenhaus 140211 Dü[email protected]+49 (0) 211 13006 0

Industrial Agency StuttgartKleiner Schloßplatz 1370173 [email protected]+49 (0) 711 900370 0

Industrial Agency HamburgAlter Steinweg 1 20459 [email protected]+49 (0) 40 350011 0

Contacts

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